Introduction

Thinking about installing solar panels in 2024? You’re not alone. With energy prices still high and technology improving, more UK homeowners are making the switch. But here’s the best part: the government and local councils are offering real incentives to make solar more affordable.

From tax breaks to payments for extra energy you generate, here’s everything you need to know about the UK’s solar incentives this year.

1. The Smart Export Guarantee (SEG)

One of the biggest incentives for UK homeowners is the Smart Export Guarantee (SEG).

• If your solar panels generate more electricity than you use, you can sell the surplus back to the grid.
• Energy suppliers with more than 150,000 customers are required to offer SEG tariffs.
• Rates vary, but some pay up to 15p per kWh—turning unused sunshine into extra income.

💡 2024 Insight: As competition grows, SEG rates are expected to improve, giving homeowners more value for their energy.

2. 0% VAT on Solar Panels and Batteries

The UK government has extended its 0% VAT policy on solar panel and battery installations until 2027.

That means:

• No VAT on equipment or installation costs.
• Homeowners can save hundreds of pounds on setup.
• Batteries are included, making storage more affordable.

💡 2024 Prediction: This incentive will keep driving adoption as homeowners rush to take advantage before the deadline.

3. Local Council Grants and Schemes

Beyond national support, many councils offer their own solar schemes, such as:

• Partial funding or discounts on installations.
• Loans or low-interest financing for renewable energy upgrades.
• Community solar projects where households share the benefits of larger solar arrays.

💡 Tip: Check your local council website for up-to-date opportunities, as schemes vary by region.

4. Solar for New Builds

Developers are increasingly including solar panels (sometimes with batteries) in new-build homes, supported by incentives and sustainability targets.

This means:

• Buyers of new homes often benefit from ready-to-use solar.
• Future energy savings are built into the property value.

💡 2024 Insight: Expect BIPV (Building-Integrated Photovoltaics) like solar tiles and windows to feature in eco-friendly housing projects.

5. Business Incentives (for SMEs and Farms)

If you run a business or manage farmland, solar can also be incentivised:

• Enhanced Capital Allowances (ECA): Tax relief on renewable energy investments.
• Grant programmes: Support for large-scale commercial solar installations.
• Green branding benefits: Meeting net-zero targets attracts eco-conscious customers.

💡 2024 Prediction: More SMEs will turn to solar as part of long-term cost-cutting and sustainability strategies.

Conclusion: Making Solar More Accessible

Thanks to a combination of national policies, local schemes, and falling installation costs, going solar in 2024 has never been easier—or more rewarding.

At Eco Energy Source, we guide homeowners and businesses through the entire process, from assessing incentives to installing the latest technology. Book your free consultation today and discover how much you could save with solar energy.